Leaf Cups and Plates

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Production Capacity 90 lakh leaf cups and 45 lakh leaf plates
Uploaded on September 2007

1.0 Product and Its Applications

Leaf cups and plates are traditionally made by hand in Indian villages. These are commonly used for serving food at marriages, religions and social functions. The laborious craft can now be converted into a machine operation to make these containers in elegant shapes and sizes. Such cups and plates are made out of plant leaves of beautia, arecanut sheath, banana etc. These have good dimensional stability and are inexpensive, hygienic and biodegradable.

2.0 Market Potential

There is a large scope for setting up cottage scale units in most parts of India. The cups and plates are in large demand by hawkers, fast food restaurants, star-hotels, mass feeding and for prasadam in religious institutions.

3.0 Basis and Presumption

  • The unit will work for 300 days per annum on a single shift basis.
  • The unit can achieve its full capacity utilization during the first month of operation.
  • The wages for skilled workers are taken as per prevailing rates in this type of industry.
  • Interest rate for total capital investment is calculated @ 12% per annum.
  • The entrepreneur is expected to raise 20-25% of the capital as margin money.
  • The unit would construct its own building.
  • Costs of machinery and equipment are based on average prices of machinery manufacturers.

4.0 Implementation schedule

Project implementation will take a period of 8 months. Break-up of the activities and relative time for each activity is shown below

Scheme preparation and approval 01 month
Sanction of financial supports etc. 2-5 months
Installation of machinery and power connection 01 months
Trial run and production 01 month

5.0 Technical Aspects

5.1 Location

The plant would have 5 machines. It can be located in any village where leaves of banana, beautia, bauhinia and arecanut palm sheaths are available. It can also work without electricity.

5.2 Salient Features of Process / Technology

The leaf cup machine is a simple pedal operated machine, manually operated with minimum power consumption. It requires 300 watts of electric power. It can also work without power by kerosene oil blow lamp. The leaves are washed and dried to retain their pliability and kept in a polythene bag to avoid drying before use. The leaves are placed on the lower die platten, the pedal is pressed down and released after a few seconds. All the operation like folding, trimming, pressing into shape and drying are done in a single operation by pressing the pedal lever. The leaf cup, subjected to heating to 150 degree C for 10 seconds also gets sterilized.

6.0 Pollution Control

There is no major pollution problem associated with this industry except for disposal of waste which should be managed appropriately.

7.0 Energy Conservation Energy Conservation

No coal or LDO is being used. If kerosene oil blow lamp is used, care should be taken in regularly cleaning the nozzles and proper air mixture to minimize smoke.

8.0 Production Capacity

Quantity Leaf cups 12 lakh + leaf plates 4lakh
Installed capacity 12 lakh cups + 5lakh plates
Optimum capacity utilization 70%
Working days 300/annum
Manpower 7
Motive Power 1 kWH
Water kL/day 0.3 kL/day

9.0 Financial Aspects  

9.1 Fixed Capital

Land & Building

Amount (Rs. lakh

Land 60 sq.m. 0.08
Built up Area 30 sq. m. 0.70
Total cost of Land and Building 0.78

9.1. 2 Machinery and Equipment


Amount (Rs. lakh)

Leaf cup and plate making machine lever on bearings - 3 0.50
Dies with circular dia - 4 0.20
Die square katori - 3 0.30
Blow lamp with fittings attachment 1 0.02
Tool kit - 1 0.01
Total 1.03
Erection and electrification @ 10% of machinery cost 0.10
Office furniture & fixtures 0.05
Total 1.18

9.1.3 Pre-operative Expenses Amount (Rs. lakh)

Consultancy fee, project report, training, deposits with electricity department etc 0.02
9.1.4 Total Fixed Capital (9.1.1+9.1.2+9.1.3) 1.98

9.2 Recurring Expenses Per Annum  

9.2.1 Personnel



Salary Per month


Entrepreneur 1 4,000 -
Unskilled workers 6 1,800 1.30
Total 1.30
Perquisites @ 15% 0.20
Total 1.50

9.2.2 Raw Material including packaging materials


Qty (t)

Amount (Rs. lakh)

Leaves   1.00
Packing material   0.10
Total   1.10

9.2.3 Utilities


Amount (Rs. lakh)

Power 0.02
Water -
Total 0.02

9.2.4 Other Contingent Expenses


Amount (Rs. lakh)

Repairs and maintenance@10% 0.12
Consumables & spares Transport & Travel Publicity Postage & stationery Telephone 0.09
Insurance 0.01
Total 0.22

9.2.5 Total Recurring Expenditure


Amount (Rs. lakh)

(9.2.1+9.2.2+9.2.3+9.2.4 ) 2.84
9. 3 Working Capital  
Recurring Expenditure for 3 months 0.72
9. 4 Total Capital Investment Amount (Rs. lakh)
Fixed capital (Refer 9.1.4) 1.98
Working capital (Refer 9.3) 0.72
Total 2.70

10.0 Financial Analysis

10.1 Cost of Production

Amount (Rs. lakh)

Recurring expenses (Refer 9.2.5) 2.84
Depreciation on building @5% 0.04
Depreciation on machinery @10% 0.10
Depreciation on furniture @20% 0.01
Interest on Capital Investment @12% 0.33
Total 3.32

10.2 Sale Proceeds / Annual turnover


Qty. (MT)

Rate per 100

Amount (Rs.lakh)

Leaf plates (assorted) 4 lakh Rs. 55 2.20
Leaf cups (assorted) 12 lakh Rs. 18 2.16
Total 4.36

10.3 Net Profit per year

  Sales - Cost of production
  4.36 - 3.32
  = Rs. 1.04 lakh

10.4 Net Profit Ratio

  Net profit x 100
  1.04 X 100
  = 23.85 %

10.5 Rate of Return on Investment

  Net profit x 100
  Capital Investment
  1.04 X 100
  = 38.52 %

10.6 Annual Fixed Cost


Amount (Rs. Lakh)

All depreciation 0.15
Interest 0.33
40% of salary, wages, utility, contingency 0.60
Insurance 0.01
Total 1.09

10.7 Break even Point

  Annual Fixed Cost x100
  Annual Fixed Cost + Profit
  1.09 X 100
  1.09 + 1.04
  = 51.2 %

1 1.0 Addresses of Machinery and Equipment Suppliers

  • Shree Murugan Industries,
    Plot No. 68/W, Hootagalli
    Industrial Area Belawadi Post
    Mysore - 571186
  • AMI Eng. Station Road,
    Opposite Veena Cinema
    Patna - 800 001
  • Chandan Eng Works, Industrial Estate,
    Kurji Patna - 800 010
  • Kalpataru Enterprises,
    HIG, Sector E, Aliganj Scheme,
    Lucknow - 226 020
  • Nalanda Agro Works, Nalanda Nagar,
    Kurji Patna- 800 010
  • Anil & Co.
    68, NGO's Colony, Rajendra Nagar,
    Mysore - 570 007
  • Shah Eng. Co.,
    C-18, Ajanta Commercial Centre, Ashram Road,
    Ahmedabad - 380 004

12. Other Special Features

A careful selection of product mix is necessary based on the local market demand and availability of raw materials. The facilities can also be utilised to manufacture different sizes and shapes of cups and plates for fuller utilisation of capacity.

For further information please contact

Information Manager
TIMEIS Project
E-mail: timeis@ficci.com